Renewable energy investments generate significant direct employment opportunities, and these
are far greater than those of conventional energy sources. This proven benefit is in addition to
climate, environment and health benefits.
Indirect and induced employment effects of renewable energy investments often only become
visible over time. Their measurement is more complicated and contentious than that of direct
employment effects, and there are important limitations to their assessment.
If the employment effects of renewable energy ODA are to be measured, their monitoring should
be integrated early on into project and programme design. A common methodology is urgently
required. And employment effects should be only one of multiple funding decisions.
Cooperation with educational institutions and skills development are essential for harnessing the
full local employment potential of renewable energy investments. Other labour market institutions
also need to be developed to ensure the growth of local capacities, skills and knowledge are
matched to the demands and opportunities of jobs in renewable energy.
Electrification is only the first step towards generating jobs, and additional measures to encourage
productive use are required.